In classical Chinese, 物化 refers to a person passing away.
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The 'to die' meaning comes from 《庄子》: the famous butterfly-dream passage ends 'this is what is called 物化', meaning the transformation between things - including life into death.
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The 'objectify' sense is the dominant modern reading, common in feminist and ethics writing. Don't confuse with 美化 ('to beautify') or 异化 ('to alienate').